In California, accounts receivable (AR) factoring companies are regulated by several key entities to ensure compliance and protect businesses. The California Department of Financial Protection and Innovation (DFPI) oversees the licensing and regulation of factoring companies, enforcing state financial laws and regulations. Additionally, the California Business and Professions Code provides guidelines that govern factoring practices. These regulatory bodies ensure that factoring companies adhere to legal standards, maintain transparency, and protect the interests of businesses engaging in factoring services. Compliance with these regulations helps maintain a fair and secure financial environment for California's businesses.